Find the incremental irr crossover rate then select a


You have two mutually exclusive projects with the following cash flows. Find the incremental IRR (crossover rate). Then, select a project if the required rate is higher than the incremental IRR.

Cash flow

Year   Project J   Project K

0      -$75,000   -$60,000

1       30,000    25,000

2       35,000    30,000

3       35,000    25,000

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Finance Basics: Find the incremental irr crossover rate then select a
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